§11-8-6e. Effect on regular levy rate when appraisal results in
tax increase; public hearings.
(a) Notwithstanding any other provision of law, where any
annual appraisal, triennial appraisal or general valuation of
property would produce an assessment that would cause an increase
of one percent or more in the total projected property tax revenues
that would be realized were the then current regular levy rates by
the county commission and the municipalities to be imposed, the
rate of levy shall be reduced proportionately as between the county
commission and the municipalities and for all classes of property
for the forthcoming tax year so as to cause such rate of levy to
produce no more than one hundred one percent of the previous year's
projected property tax revenues from extending the county
commission and municipality levy rates, unless there has been
compliance with subsection (c) of this section.

An additional appraisal or valuation due to new construction
or improvements to existing real property, including beginning
recovery of natural resources, and newly acquired personal property
shall not be an annual appraisal or general valuation within the
meaning of this section, nor shall the assessed value of such
improvements be included in calculating the new tax levy for
purposes of this section. Special levies shall not be included in
the reduced levy calculation set forth in subsection (b) of this
section.

(b) The reduced rates of levy shall be calculated in the following manner:

(1) The total assessed value of each class of property as it
is defined by section five, article eight of this chapter for the
assessment period just concluded shall be reduced by deducting the
total assessed value of newly created properties not assessed in
the previous year's tax book for each class of property;

(2) The resulting net assessed value of Class I property shall
be multiplied by .01; the value of Class II by .02; and the values
of Class III and IV, each by .04;

(3) Total the current year's property tax revenue resulting
from regular levies for each county commission and municipality and
multiply the resulting sum by one hundred one percent: Provided,
That the one hundred one percent figure shall be increased by the
amount the county's or municipality's increased levy provided for
in subsection (b), section eight, article one-c of this chapter;

(4) Divide the total regular levy tax revenues, thus increased
in subdivision (3) of this subsection, by the total weighted net
assessed value as calculated in subdivision (2) of this subsection
and multiply the resulting product by one hundred; the resulting
number is the Class I regular levy rate, stated as cents-per-one
hundred dollars of assessed value;

(5) The Class II rate is two times the Class I rate; Classes
III and IV, four times the Class I rate as calculated in the
preceding subdivision.

(c) The governing body of a county or municipality may, after conducting a public hearing, which may be held at the same time and
place as the annual budget hearing, increase the rate above the
reduced rate required in this section if any such increase is
deemed to be necessary by such governing body: Provided, That in
no event shall the governing body of a county or municipality
increase the rate above the reduced rate required by subsection (b)
of this section for any single year in a manner which would cause
total property tax revenues accruing to the governing body of the
county or municipality, excepting additional revenue attributable
to assessed valuations of newly created properties not assessed in
the previous year's tax book for each class of property, to exceed
by more than ten percent those property tax revenues received by
the governing body of the county or municipality for the next
preceding year: Provided, however, That this provision shall not
restrict the ability of a county or municipality to enact excess
levies as authorized under existing statutory or constitutional
provisions: Provided further, That this provision does not
restrict the ability of a county or municipality to issue bonds and
enact sufficient levies to pay for such bonds pursuant to article
one, chapter thirteen of this code when such issuance has been
approved by an election administered pursuant to that article.

Notice of the public hearing and the meeting in which the levy
rate shall be on the agenda shall be given at least seven days
before the date for each public hearing by the publication of a
notice in at least one newspaper of general circulation in such county or municipality: Provided, That a Class IV town or village
as defined in section two, article one, chapter eight of this code,
in lieu of the publication notice required by this subsection, may
post no less than four notices of each public hearing, which posted
notices shall contain the information required by the publication
notice and which shall be in available, visible locations including
the town hall. The notice shall be at least the size of one-eighth
page of a standard size newspaper or one-fourth page of a
tabloid-size newspaper and the headline in the advertisement shall
be in a type no smaller than twenty-four point. The publication
notice shall be placed outside that portion, if any, of the
newspaper reserved for legal notices and classified advertisements
and shall also be published as a Class II-O legal advertisement in
accordance with the provisions of article three, chapter fifty-nine
of this code. The publication area is the county. The notice
shall be in the following form and contain the following
information, in addition to such other information as the local
governing body may elect to include:

NOTICE OF PROPOSED TAX INCREASE.

The (name of the county or municipality) proposes to increase
property tax levies.

1. Appraisal/Assessment Increase: Total assessed value of
property, excluding additional assessments due to new or improved
property, exceeds last year's total assessed value of property by
..... percent.

2. Lowered Rate Necessary to Offset Increased Assessment: The
tax rate which would levy the same amount of property tax as last
year, when multiplied by the new total assessed value of property
with the exclusions mentioned above, would be $..... per $100 of
assessed value for Class I property, $..... per $100 of assessed
value for Class II property, $..... per $100 of assessed value for
Class III and $..... per $100 of assessed value for Class IV
property. These rates will be known as the "lowered tax rates".

3. Effective Rate Increase: The (name of the county or
municipality) proposes to adopt a tax rate of $..... per $100 of
assessed value for Class I property, $..... per $100 of assessed
value for Class II property, $..... per $100 of assessed value for
Class III property and $..... per $100 of assessed value for Class
IV property. The difference between the lowered tax rates and the
proposed rates would be $..... per $100, or ..... percent for Class
I; $..... per $100, or ..... percent for Class II; $..... per $100,
or ..... percent for Class III and $..... per $100, or .....
percent for Class IV. These differences will be known as the
"effective tax rate increases".

Individual property taxes may, however, increase at a
percentage greater than or less than the above percentage.

4. Revenue produced last year: $.....

5. Revenue projected under the effective rate increases:
$.....

6. Revenue projected from new property or improvements: $.....

7. General areas in which new revenue is to be allocated: A
public hearing on the increases will be held on (date and time) at
(meeting place). A decision regarding the rate increase will be
made on (date and time) at (meeting place).

(d) All hearings are open to the public. The governing body
shall permit persons desiring to be heard an opportunity to present
oral testimony within such reasonable time limits as are determined
by the governing body.

(e) This section shall be effective as to any regular levy
rate imposed by the county commission or a municipality for taxes
due and payable on or after July 1, 1991. If any provision of this
section is held invalid, the invalidity does not affect other
provisions or applications of this section which can be given
effect without the invalid provision or its application and to this
end the provisions of this section are declared to be severable.